A month has gone by since the last earnings report for John Bean . Shares have added about 5.7% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is JBT due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts.
John Bean Q3 Earnings & Revenues Beat Estimates, Increase Y/Y
John Bean reported adjusted earnings of $1.50 per share in third-quarter 2024, 35.1% higher than the prior-year quarter. The figure beat the Zacks Consensus Estimate of $1.41. Volume growth, gains from the company’s restructuring actions and supply-chain cost savings, and lower net interest expenses were instrumental in driving the results in the quarter.
On a reported basis, the company’s earnings per share (from continuing operations) were $1.18 compared with the prior-year quarter’s earnings of 97 cents.
Revenues of $454 million increased 12.4% from the year-ago quarter. The top line surpassed the Zacks Consensus Estimate of $445 million.
Backlog (from continuing operations) was $698 million at the end of the third quarter, up 1.3% year over year. Orders were up 10.5% year over year to $440 million.
John Bean’s Margins Improve Y/Y in Q3
The cost of sales increased 12.1% year over year to $290 million in the third quarter. Gross profit moved up 13% year over year to $164 million. The gross margin was 36.1% compared with the year-earlier quarter’s figure of 35.9%.
Selling, general and administrative expenses were up 15.3% year over year to $117 million. Operating profit improved 26.8% year over year to $47 million from the prior-year quarter’s $37 million. The operating margin was 10.3% compared with 9.1% in the third quarter of 2023.
In the quarter under review, adjusted EBITDA was around $82 million, reflecting a year-over-year increase of 23.2%. The adjusted EBITDA margin was 18% compared with the year-ago quarter’s 16.4%.
JBT’s Q3 Cash & Debt Position
John Bean reported cash and cash equivalents of $534.5 million at the end of the third quarter of 2024, an increase from $483 million at the end of 2023. The company generated around $104 million in cash from operating activities in the nine months ended Sept. 30, 2024, compared with $96 million in the prior-year period.
The company’s total debt was $648 million as of Sept. 30, 2024, up from $646 million as of Dec. 31, 2023.
John Bean’s Guidance for 2024
The company reduced 2024 income from continuing operations expectations to $116-$125 million from the prior stated $137-$146 million.
It expects revenues of $1.715-$1.750 billion for 2024. The adjusted EBITDA is forecast at $295-$305 million. The EBITDA margin is anticipated between 17% and 17.5%. John Bean expects adjusted earnings per share between $5.05 and $5.35 for 2024.
How Have Estimates Been Moving Since Then?
It turns out, estimates review have trended downward during the past month.
VGM Scores
At this time, JBT has a nice Growth Score of B, though it is lagging a lot on the Momentum Score front with a D. Charting a somewhat similar path, the stock was allocated a grade of C on the value side, putting it in the middle 20% for this investment strategy.
Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, JBT has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
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Why Is JBT (JBT) Up 5.7% Since Last Earnings Report?
A month has gone by since the last earnings report for John Bean . Shares have added about 5.7% in that time frame, outperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is JBT due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts.
John Bean Q3 Earnings & Revenues Beat Estimates, Increase Y/Y
John Bean reported adjusted earnings of $1.50 per share in third-quarter 2024, 35.1% higher than the prior-year quarter. The figure beat the Zacks Consensus Estimate of $1.41. Volume growth, gains from the company’s restructuring actions and supply-chain cost savings, and lower net interest expenses were instrumental in driving the results in the quarter.
On a reported basis, the company’s earnings per share (from continuing operations) were $1.18 compared with the prior-year quarter’s earnings of 97 cents.
Revenues of $454 million increased 12.4% from the year-ago quarter. The top line surpassed the Zacks Consensus Estimate of $445 million.
Backlog (from continuing operations) was $698 million at the end of the third quarter, up 1.3% year over year. Orders were up 10.5% year over year to $440 million.
John Bean’s Margins Improve Y/Y in Q3
The cost of sales increased 12.1% year over year to $290 million in the third quarter. Gross profit moved up 13% year over year to $164 million. The gross margin was 36.1% compared with the year-earlier quarter’s figure of 35.9%.
Selling, general and administrative expenses were up 15.3% year over year to $117 million. Operating profit improved 26.8% year over year to $47 million from the prior-year quarter’s $37 million. The operating margin was 10.3% compared with 9.1% in the third quarter of 2023.
In the quarter under review, adjusted EBITDA was around $82 million, reflecting a year-over-year increase of 23.2%. The adjusted EBITDA margin was 18% compared with the year-ago quarter’s 16.4%.
JBT’s Q3 Cash & Debt Position
John Bean reported cash and cash equivalents of $534.5 million at the end of the third quarter of 2024, an increase from $483 million at the end of 2023. The company generated around $104 million in cash from operating activities in the nine months ended Sept. 30, 2024, compared with $96 million in the prior-year period.
The company’s total debt was $648 million as of Sept. 30, 2024, up from $646 million as of Dec. 31, 2023.
John Bean’s Guidance for 2024
The company reduced 2024 income from continuing operations expectations to $116-$125 million from the prior stated $137-$146 million.
It expects revenues of $1.715-$1.750 billion for 2024. The adjusted EBITDA is forecast at $295-$305 million. The EBITDA margin is anticipated between 17% and 17.5%. John Bean expects adjusted earnings per share between $5.05 and $5.35 for 2024.
How Have Estimates Been Moving Since Then?
It turns out, estimates review have trended downward during the past month.
VGM Scores
At this time, JBT has a nice Growth Score of B, though it is lagging a lot on the Momentum Score front with a D. Charting a somewhat similar path, the stock was allocated a grade of C on the value side, putting it in the middle 20% for this investment strategy.
Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, JBT has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.